Tether's Regulated Stablecoin Expands to Celo Blockchain

Tether's USAT stablecoin has launched on the Celo blockchain, marking its first deployment outside of Ethereum. The token went live on March 31, bringing native minting, burning, and planned gas fee payment capabilities to the network. Users can create and redeem USAT directly on Celo without needing to bridge from Ethereum.

The Celo deployment includes core infrastructure that makes USAT functional from day one, with users able to pay transaction costs in USAT itself rather than needing the chain's native token, CELO. However, this feature is pending Celo governance approval and could remove a meaningful friction point for new users who don't already hold CELO tokens.

Tether CEO Paolo Ardoino highlighted the accessibility angle of the expansion, positioning it as a way to bring regulated digital dollars to more users. Rene Reinsberg, co-founder of Celo, framed the launch as validation for combining regulated stablecoins with identity infrastructure.